Health care operations is an area that hasn’t had much innovation, but LeanTaaS is out to change that.
The company, which is based in both Santa Clara, California, and Charlotte, North Carolina, provides a suite of software tools that increase patient access to medical care. It takes hospital and infusion center data and combines it with predictive analytics and machine learning to offer recommendations on how to decrease wait times, reduce health care delivery costs, and improve revenue.
“When a medical appointment is made, two people chat, they look at the calendar and no one did any math–there is no optimization,” Mohan Giridharadas, founder and CEO of LeanTaaS, told Crunchbase News. “There is no other place like health care where the demand side is a crazy mix of chairs, rooms, patients, doctors, nurses and operating rooms. It is a wobbly supply and demand that needs to be matched.”
The company’s new $130 million Series D round will be invested in three product suites: iQueue for operating rooms, iQueue for infusion centers, and iQueue for inpatient beds. In addition, LeanTaaS will scale its engineering, product development and go-to-market teams, as well as bring new products to market.
Existing investor Insight Partners led the round with participation from Goldman Sachs, which led the company’s $40 million Series C in 2019, according to Crunchbase data. The company has now raised a total of $250 million in funding since it was founded in 2010.
Peter Segall, managing director at Insight Partners, said in an interview that every minute an operating room is not being used, a hospital loses $100 per minute of revenue.
“LeanTaaS has a unique offering to U.S. health care,” he said. “Their product tackles a problem that people didn’t think could be solved: saving money through data analytics. Their proof points were compelling, and we have found no meaningful external competitors.”
Over the past five years, the company has grown 400 percent annually, and Giridharadas expects a similar growth next year.
“We are not interested in going overseas at the moment because the market here is big,” he added. “In a COVID-19 world, chairs are in scarce supply. The hospital bed is the most expensive hotel there is. There are 1 million hospital beds in the U.S., so if you tighten the ins and outs, there is that much more value to unlock.”
Giridharadas estimates there are 5,000 hospitals in need of products and services like LeanTaaS, with approximately $3 trillion of assets–chairs, rooms and ORs–in the United States.
The company’s vision is to go-to-market like an air traffic controller. “We are going to go asset by asset to optimize the supply and demand, when we string the assets together, that is when the magic happens,” Giridharadas said.